Willow Lane Acquisition Warrants(Wlacw) Financials: Cash Ratio Compared To Industry Average, Plus Other Key Ratios
Liquidity Trend (Last 5 Years)
Liquidity - cash ratio
This chart shows the historical trend of cash ratio for WLACW compared to its industry average over the recent years.
Ratio Definition and Interpretation
Name: Cash Ratio
Definition: The cash ratio measures a company's ability to pay off all of its current liabilities immediately using only its most liquid assets: cash and cash equivalents. Unlike the current ratio and quick ratio, it excludes accounts receivable and inventory, making it the most conservative measure of liquidity.
Interpretation:
• In '2024', WLACW's cash ratio was 17.83, indicating the company's ability to meet short-term obligations purely with cash. Industry average for nan in '2024' stood at 1.93.
Overall, WLACW's cash ratio has remained generally stable over the past 1 years.
Formula: Cash Ratio = (Cash + Cash Equivalents) / Current Liabilities
Good Range: Generally, a cash ratio between 0.2 and 0.5 is considered healthy for most industries.